IGD figures do indies a disservice

IGD, institute, grocery, distribution, institute for grocery distribution, the grocer magazineThe Institute of Grocery Distribution collaborates with William Reed, the publisher of the Grocer, to count how many shops there are in the UK grocery channel each year. It is an excellent project hampered by a consistent bias against the independent retailer.

This year’s figures, exclusively published through the Grocer last week, show that the numbers of independent shops in the convenience channel dropped from 35,620 to 35,430 last year, a fall of 0.5 per cent. Within their number, the number of independent shops that chose to be part of a symbol group rose by 3.6 per cent to 15,287 and the number of unaffiliated shops fell by 3.4 per cent to 20,143.

The Grocer chooses to describe this as “terminal decline” and says the multiples’ growth comes at “the expense of the independents”. Of course, writing a couple of hundred words to summarise a market of just under 42,000 outlets means trends have to be sketched with a broad brush.

Unfortunately, this usually means the multiple retailers get talked up at the expense of the independents. In its market analysis, the IGD projects that the convenience channel will grow strongly as the multiples open more than 1,000 new stores in the next few years.

Many independent retailers have responded to this challenge by joining symbol groups and investing in better standards. Some may well be swallowed up by the multiples. However, at present the independent sector as a whole is doing quite well in the local sector and this needs to be championed rather than dismissed.

About author
As managing director of Newtrade Publishing Nick has over 20 years’ experience of covering retail markets, Nick helps shopkeepers of all sizes to think about what questions are important for themselves and their businesses, and to find answers that work in their shops.
1 comment on this postSubmit yours
  1. As alway it’s understand the small print not the headline that counts!

    Just thinking does it show we now have lots more smaller shops? Community owned, Farm shops or local buying groups that are changing the retail mix?

Submit your comment

Please enter your name

Your name is required

Please enter a valid email address

An email address is required

Please enter your message

betterRetailing © 2012 All Rights Reserved | betterRetailing.com is part of Newtrade Publishing
Registered Office: 11 Angel Gate, 326 City Road, London, EC1V 2SD.
Registered in England and Wales No.454555